Power & Natural Gas Taskforce

Electric power and natural gas industries are two very distinct, but interdependent energy industries that have been competitors for energy load. And in recent years, due to issues around regulation, costs and environmental policies these industries have become increasingly connected.

The nature of this interdependence was never clearer than in February 2011 in the Electric Reliability Council of Texas area. A freak occurrence of record cold temperatures and power plant failures led to rolling black-outs across Texas. As a result of this system failure, FERC, among others, has launched an investigation in hopes of learning more about gas and power interdependence.

While the Northwest has been able to avoid a similar crisis, it is clear that the gas-power connection is getting stronger. The majority of all incremental demand for natural gas is anticipated to come from new gas-fired power plants over the next 20 years, as gas-fired generators replace base-load coal-fired generators, and as they as step in to firm up variable energy resources.

PNUCC is engaging with others to ensure that the Pacific Northwest is well prepared for the growing convergence of natural gas and the electric power industries.